Real estate is an investment channel with a remarkable profit rate in the past 10 years.

(Dan Tri) - Experts say that real estate is still the investment channel with the best yield in Vietnam in the past 10 years. Of which, apartments achieved a profit of nearly 300%, land 237%,... compared to the first quarter of 2015.

According to the report of the Vietnam Real Estate Research Institute, real estate is the investment channel with the highest short-term profit rate in recent years, up to 14%/year. Ranked second is the corporate bond investment channel (8.5%/year).

Ranked third is SJC gold (7.36%/year). Savings deposits rank fourth with a yield of 6%/year. As for stocks, this is the lowest ranked investment channel as participants can lose up to 20.14%/year.

According to some studies, with the amount of money saved, Vietnamese people have some main investment channels such as financial market, real estate, gold, foreign currency and savings.

In particular, financial investment channels have not developed strongly and provided many options. For example, the financial market including stocks, bonds, investment funds... although attractive, Mr. Nguyen Quoc Anh - Deputy General Director of Batdongsan.com.vn - said that the fluctuations are complicated, the number of listed enterprises is small, the capitalization of the stock market compared to GDP is about 70%, lower than countries like Japan (146% of GDP), Thailand (122% of GDP).

As for the bond yield, Mr. Quoc Anh calculated it was only about 2.8%, there were 14 exchange-traded funds (ETFs) and 1 real estate investment fund but they were not attractive. For the gold market, the domestic gold price was higher than the world price, in addition to the impact of the geopolitical situation, making gold risky despite being an attractive channel, and not easy to invest in the long term.

Foreign currency channel, experts calculate the profit from the beginning of 2023 to the end of November this year to be about 13%, while savings account is about 9%, safe but not very profitable.

With the above analysis, the expert believes that real estate is still the investment channel with the best yield in Vietnam in the past 10 years. Of which, apartments achieved a profit of nearly 300%, land 237%, gold 230%, stocks 209%,... compared to the first quarter of 2015.

Real estate is considered the investment channel with the best yield in Vietnam in the past 10 years (Illustration: Tran Khang).

In recent times, the apartment market in general and Hanoi in particular have witnessed a strong wave of price increases. According to Dr. Nguyen Van Dinh - Chairman of the Vietnam Association of Realtors (VARS), the continuous increase in the purchase, sale and rental prices of apartments in recent times has also broken the stereotype that investing in apartments is a "consumer asset".

"In the past, most people thought that apartments were a type of unprofitable purchase and sale, only causing losses, but choosing to invest in residential real estate, having a piece of land to settle down was the optimal solution because of its easy liquidity and high profitability. Currently, investing in apartments and then renting them out has become a popular trend in big cities because it not only brings in a steady cash flow from monthly rentals - higher than savings, but also benefits from the possibility of price increases," said Dr. Nguyen Van Dinh.

Mr. Nguyen Quoc Anh assessed that Vietnam is a country with a high per capita economic growth rate and strong inflation. At the same time, the interest rate environment and the efficiency of domestic investment channels both strengthen consumers' demand for real estate.

Real estate prices in Vietnam are also growing at the top rate in the world, making this segment even more attractive to buyers and investors.

Specifically, Vietnam's real estate price growth in the 5 years (from 2019 to 2024) reached 59%, higher than many other countries such as the US (54%), Australia (49%), Japan (41%), Singapore (37%)...

The high price level makes the real estate rental yield in Vietnam only at 4%, while many other countries such as the Philippines, Malaysia, Thailand, Indonesia, UK, Australia, and the US have real estate rental yields ranging from 5-7%.

Source: https://dantri.com.vn/bat-dong-san/bat-dong-san-la-kenh-dau-tu-co-ty-suat-loi-nhuan-dot-bien-trong-10-nam-qua-20241214114604073.htm